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Can you explain how the free cash flow number was figured out on the attached consolidated statement of cash flow? THE HERSHEY COMPANY CONSOLIDATED STATEMENTS
Can you explain how the free cash flow number was figured out on the attached consolidated statement of cash flow?
THE HERSHEY COMPANY CONSOLIDATED STATEMENTS OF CASH FLOWS For the years ended December 31, 2011 2010 In thousands of dollars Cash Flows Provided from (Used by) Operating Activities Net income $628,962 $509,799 Adjustments to reconcile net income to net cash provided from operations: Depreciation and amortization 215,763 197,116 Stock-based compensation expense, net of tax of $15,127, $17,413 and $19,223, 28,341 32,055 respectively Excess tax benefits from stock-based (13,997) (1,385) compensation Deferred income taxes 33,611 (18,654) Gain on sale of trademark licensing rights, (11,072) net of tax of $5,962 Business realignment and impairment charges, net of tax of $18,333, $20,635 30,838 77,935 and $38,308, respectively Contributions to pension plans (8,861) (6,073) Changes in assets and liabilities, net of effects from business acquisitions and divestitures: Accounts receivabletrade (9,438) 20,329 Inventories (115,331) (13,910) Accounts payable 7,860 90,434 Other assets and liabilities (205,809) 13,777 Net Cash Provided from Operating Activities 580,867 901,423 Cash Flows Provided from (Used by) Investing Activities Capital additions (323,961) (179,538) Capitalized software additions (23,606) (21,949) Proceeds from sales of property, plant and 312 2,201 equipment Proceeds from sales of trademark licensing 20,000 rights Business acquisitions (5,750) Net Cash (Used by) Investing Activities (333,005) (199,286) Cash Flows Provided from (Used by) Financing Activities Net change in short-term borrowings 10,834 1,156 Long-term borrowings 249,126 348,208 Repayment of long-term debt (256,189) (71,548) Proceeds from lease financing agreement 47,601 Cash dividends paid (304,083) (283,434) Exercise of stock options 184,411 92,033 Excess tax benefits from stock-based 13,997 1,385 compensation Contributions from noncontrolling interests 10,199 in subsidiaries Repurchase of Common Stock (384,515) (169,099) Net Cash (Used by) Financing Activities (438,818) (71,100) (Decrease) Increase in Cash and Cash Equivalents (190,956) 631,037 Cash and Cash Equivalents as of January 1 884,642 253,605 Cash and Cash Equivalents as of December 31 $693,686 $884,642 Interest Paid $97,892 $97,932 Income Taxes Paid 292,315 350,948 Free cash flow Hershey Company 2009 $435,994 182,411 34,927 (4,455) (40,578) 60,823 (54,457) 46,584 74,000 37,228 293,272 1,065,749 (126,324) (19,146) 10,364 (15,220) (150,326) (458,047) (8,252) (263,403) 28,318 4,455 7,322 (9,314) (698,921) 216,502 37,103 $253,605 $91,623 252,230 $ -47,177Step by Step Solution
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